Dáil Éireann Debate, Tuesday - 24 June 2014
69. Deputy Pádraig Mac Lochlainn asked the Minister for Justice and Equality if she is satisfied that the Garda Bureau of Fraud Investigation has the necessary resources to deal with all reports of alleged white collar crime; and if there is a joined-up approach to tackling white collar crime with the Office of the Director of Corporate Enforcement, with the requisite resources deployed. [26923/14]
View answerMy question follows media reports on the Bar Council's annual conference. Mr. Remy Farrell, senior counsel, heavily criticised the lack of resources given to the Garda Bureau of Fraud Investigation and the Office of the Director of Corporate Enforcement, ODCE. He expressed the view that there was never a better time for white collar criminals to get away with it. These were serious comments. Mr. Farrell is one of the most eminent practitioners in tackling this area and seen as a leading expert. His comments, therefore, were alarming. What is the Minister's response?
While the deployment of resources within An Garda Síochána is a matter for the acting Garda Commissioner, I have received a detailed report from her on the Garda Bureau of Fraud Investigation, GBFI, and its functions. As the Deputy will be aware, the acting Commissioner has initiated an immediate comprehensive review and strategic realignment of An Garda Síochána's capacity to deal with emerging and complex crime and this will have an important bearing on how these functions are performed. As the Deputy has rightly noted, a major challenge facing the bureau is the rapidly changing environment in which white collar and other criminals operate, as well as the scale and complexity of some white collar crime investigations. As part of the review process An Garda Síochána is liaising with its international partners and national institutions to identify collaborative approaches. Clearly, international work and co-operation are singularly important in the investigation of these crimes. I am in ongoing contact with the Garda authorities in this regard.
The Government moved rapidly to provide new legislation with the Criminal Justice Act 2011 which served to help to speed up investigations into white collar crime. The acting Commissioner is aware that I will give careful consideration to additional proposals from the Garda authorities in this regard. Furthermore, while specialist and major investigations are a matter for the Garda Bureau of Fraud Investigation, many types of white collar crime are investigated by local units within An Garda Síochána with support and advice from the bureau. In addition, the Criminal Assets Bureau has been active in targeting the proceeds of deception, fraud, money laundering, bribery and corruption and other types of criminal activity commonly referred to as white collar crime.
In so far as the question referred to liaison with other enforcement bodies, I emphasise that the Garda Bureau of Fraud Investigation is working closely with other bodies that have enforcement functions, for example, the Office of the Director of Corporate Enforcement, the Central Bank and the Competition Authority. GBFI staff are seconded to the Director of Corporate Enforcement and the Competition Authority. There is considerable liaison between the various bodies with responsibilities in this area.
The reports on the comments made by Mr. Remy Farrell, senior counsel, were most alarming. I will go through some of them. He referred to the Office of the Director of Corporate Enforcement. The director, Mr. Ian Drennan, had said the office needed five forensic accountants to keep up with the volume of complaints coming in, yet the office has only one. Clearly, this is not up to standard.
One quote on forensic computer analysis, a core part of the investigatory functions of the office, struck me in particular. Mr. Farrell said:
So if you’re going to commit an elaborate fraud, make sure to password lock your computer, even if it’s a really obvious password. That should buy you at least two to three years.
Perhaps this was something of a rhetorical flourish, but the comments were alarming. We need reassurance that resources are being deployed. White collar crime is what brought the State to its knees. Arguably, there are all sorts of issues, but certainly there is a fear, as well as a concern, among the public that white collar crime was part of what led to the collapse of the economy.
Regarding the Deputy's point on the need for greater accountancy skills in the Office of the Director of Corporate Enforcement, ODCE, such skills are fundamental to the office's ability to deal with the more complex issues and investigations it has been facing since the economic downturn. My colleague, the Minister for Jobs, Enterprise and Innovation, Deputy Bruton, has been addressing this issue and working with the Department of Public Expenditure and Reform to ensure that the posts are filled. This is critical.
The Acting Garda Commissioner has told me that the main challenge the Garda is facing is the rapidly changing environment in which fraudsters and white collar criminals operate. This owes to changing technology, criminality and questionable business practices. As the Deputy knows, the Garda is working on a range of cases. I will keep the question of resources under review with the Acting Garda Commissioner.
As part of my preparation for this question, I read an article from the respected writer and columnist, Ms Elaine Byrne, which referred to the need for an independent audit of the capacity of the oversight agencies, namely, the Criminal Assets Bureau, CAB, the ODCE, the Garda Bureau of Fraud Investigation, the Central Bank, Revenue, the national bureau of criminal investigation, NBCI, the Competition Authority and so on. These agencies have a joined-up responsibility. Will the Minister consider Ms Byrne's brilliant suggestion of an independent audit of the agencies' collective capacity to tackle white collar crime? In the article, which Ms Byrne wrote last year, she mentioned that we did not have a police-led multi-agency task force approach to this issue. Will the Minister consider a police-led approach so as to join up the dots between the agencies and ensure they are effectively tackling white collar crime as a team?
Mr. Remy Farrell, senior counsel, has stated that raising fines will not be enough. The people involved in white collar crime need to see clearly that they will be brought to justice, that resources will be deployed in the investigations and that there will be a joined-up approach. When people start being prosecuted and going to jail, the culture will change. Raising fines will not cut it.
To a degree, the Deputy's points could best be dealt with in the context of the Acting Garda Commissioner's strategic review. By undertaking such a review, she clearly recognises that this issue is an emerging and serious priority. The questions of resources and of engagement with international and local partners are key. The precise mechanisms for that engagement and who should lead it are questions that will arise in the course of the review. I will seek the review's outcome and keep in mind the Deputy's points.
I thank the Minister.
